PERTH (miningweekly.com) – Gold miner Silver Lake Resources has reported a significant increase in gold production during the three months to March, after its Murchison gold mine started production in February.
During the quarter ended March, Silver Lake’s gold production increased to 43 760 oz, compared with the 26 021 oz produced in the quarter ended December. Ore mined for the quarter increased to 491 880 t, resulting in contained gold in ore production of 38 825 oz, compared with the 27 172 oz of contained gold produced in the previous three months.
The Mount Monger operation produced some 38 232 oz during the quarter under review, with production from the Daisy complex reduced by some 45% to maximise cash flow and maintain margins, as the gold price declined.
At the Maxwell complex, a redesign had been undertaken to focus on mining the higher-grade thicker ore zones of the openpit to increase mined grades at similar monthly ore volumes.
At the Murchison gold project, Silver Lake produced some 5 528 oz of gold since the project’s maiden gold pour on February 22. Silver Lake expected commercial production at Murchison to be declared in the June quarter, and the miner had already started underground development.
During the quarter under review, gold sales increased to 42 200 oz, compared with the 28 123 oz sold during the previous three months, generating some A$64.8-million in revenue.